The UAE has released updated petrol and diesel prices for July 2025, marking a significant increase following months of price stability. This comes amid geopolitical tensions that have placed upward pressure on global oil markets.
Fuel Prices Increase Across All Categories
After remaining unchanged in June, fuel prices in the UAE have risen across the board for July. The new rates, effective from July 1, are:
- Super 98 petrol: Dh2.70 per litre (up from Dh2.58 in June)
- Special 95 petrol: Dh2.58 per litre (up from Dh2.47)
- E-Plus 91 petrol: Dh2.51 per litre (up from Dh2.39)
- Diesel: Dh2.63 per litre (up from Dh2.45)
These increases follow a marginal rise in May and flat rates in June, reversing the downward trend observed in March and April.
Global Conflict Drives Up Oil Market Volatility
The price hike coincides with a surge in global oil prices earlier in June. Tensions in the Middle East escalated after a conflict erupted between Israel and Iran, followed by reported U.S. airstrikes on Iranian nuclear facilities. This geopolitical uncertainty contributed to increased market volatility and rising crude prices, influencing local fuel rates in the UAE.
Since the UAE deregulated petrol prices in 2015, rates are adjusted monthly in accordance with global market benchmarks. The Fuel Price Committee evaluates international oil trends and sets domestic prices to ensure transparency and market alignment.
The July 2025 fuel price adjustment reflects broader global energy challenges and market dynamics. With rising regional tensions, consumers and businesses in the UAE may need to prepare for further price fluctuations in the months ahead.